382: Artificial reality vs. the real world – the economics of AI

How is the mass adoption of AI changing the labour market? Could this technology shift the balance of geopolitical power? And can investors access this theme without increasing concentration risk?

In this week’s episode, three L&G experts share their insights. Our speakers are:

• James Carrick, Senior Economist and Strategist
• Matthew Rodger, Economist
• Andrzej Pioch, Fund Manager

This episode was recorded on 10 October 2025 and is hosted by Harry Brooks, European Content Manager.

Sources:

• AI as percentage of US Q1 GDP: L&G calculations, Macrobond, Artificial Analysis, AI spend includes computer, software, data centre and electricity investment. Investment not adjusted for import component as at 30 June 2025.
• US and China make up 80% of AI: EPOCH AI as at June 2025.
• AI spillover and multiplier effects: Honey, AI Capex is Eating the Economy
• US Census Bureau estimate of AI capex: Macrobond as at June 2025.

For professional investors only. Capital at risk. Assumptions, opinions, and estimates are provided for illustrative purposes only. There is no guarantee that any forecasts made will come to pass. Past performance is not a guide to the future. Securities mention for illustrative purposes only. Reference to a particular security is on a historic basis and does not mean that the security is currently held or will be held within an L&G portfolio. The above information does not constitute a recommendation to buy or sell any security.